Your PAN card is one of the most important identity documents in India — used for everything from opening a bank account to filing taxes and applying for loans.
But because it is widely used and easy to photocopy or screenshot, PAN card fraud has become increasingly common. Misuse of your PAN can lead to unauthorized loans, fake credit card applications, tax issues and even identity theft.
Here’s a simple guide on how to detect PAN misuse early and practical steps to protect yourself.
What Is PAN Card Fraud?
PAN card fraud occurs when someone illegally uses your Permanent Account Number without your consent for:
Taking personal loans
Applying for credit cards
Opening fraudulent accounts
Making high-value transactions
Evading taxes using your identity
Fraudsters usually get PAN details through online leaks, document sharing, phishing messages, or fake KYC links.
Signs Your PAN May Be Misused
Watch out for these red flags:
1. Loans or Credit Cards You Never Applied For
Banks contact you for verification or EMIs for accounts you didn’t open.
2. Unknown Hard Enquiries in Your Credit Report
Credit bureaus show loan/credit card enquiries in your name.
3. Sudden Drop in Credit Score
A sharp fall can indicate unauthorized borrowings.
4. Income Tax Notices for Unknown Transactions
IT department flags transactions not made by you.
5. OTPs or Emails for Financial Services You Didn’t Request
Attempted misuse of PAN or linked mobile number.
If you notice any of these, act immediately.
How to Prevent PAN Card Misuse
1. Never Share PAN Copies Freely
Only provide PAN details when absolutely necessary.
Avoid sharing on WhatsApp or email unless secure.
2. Mask Your PAN
When sharing photocopies, blur the first 5 digits or write “For XYZ Purpose Only”.
3. Check Your Credit Report Regularly
Monitor reports on:
CIBIL
Experian
CRIF
Equifax
Identify unknown enquiries instantly.
4. Avoid Uploading PAN on Unverified Websites
Always check for:
HTTPS
Verified portal
Official website name
5. Beware of Fake KYC Messages
Fraudsters often send:
“Your KYC is pending”
“PAN will be blocked”
“Click the link to update PAN”
These are scams.
6. Don’t Leave PAN Photocopies at Hotels or Shops
Even mobile shops or travel agents may misuse PAN for SIMs or finance applications.
7. Enable SMS Alerts on Your Bank & Credit Accounts
Instant alerts help detect misuse early.
8. Freeze or Lock Your Credit if Needed
Some bureaus allow temporary blocking of credit enquiries.
9. Use Digital Lockers for Safe Storage
Store your PAN in DigiLocker instead of sending photos everywhere.
What to Do If Your PAN Is Already Misused?
Step 1: File a Complaint on the Cyber Crime Portal
Register a case at:
National Cyber Crime Reporting Portal (cybercrime.gov.in)
Step 2: Raise a Dispute with Credit Bureaus
Request removal of unauthorized enquiries or loans.
Step 3: Inform Banks or Lending Institutions
Tell them the application was fraudulent.
Step 4: Update Police with Written Complaint
Attach evidence, screenshots and credit reports.
Step 5: Track All Activity Closely
Monitor PAN usage until the issue is resolved.
Acting quickly prevents further financial damage.
Conclusion
PAN card fraud can cause serious financial stress — but with the right precautions, you can stay safe.
By keeping your PAN secure, regularly checking your credit report and avoiding risky online behavior, you significantly reduce your chances of becoming a victim.
Stay aware, stay alert and keep your identity protected.
FAQs
Q1. Can someone take a loan with just my PAN number?
A: Yes, fraudsters can apply for small loans using only PAN + basic details. That’s why protection is essential.
Q2. How do I know if my PAN is being misused?
A: Check your credit report and look for unknown loan enquiries or accounts.
Q3. Will police help in PAN misuse cases?
A: Yes, lodge a cybercrime complaint and a police FIR if needed.
Q4. Can PAN misuse affect my credit score?
A: Yes, fraudulent loans or enquiries can lower your score.
Q5. Should I share my PAN for hotel bookings or SIM cards?
A: Share only when absolutely necessary and always mask unnecessary digits.
Published on : 13th November
Published by : SMITA
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